Copyright

Ch 20: Exchange & Trade Relationships

About This Chapter

If you are interested in learning more about exchange and trade relationships as you prepare for a test or assignment, this chapter can help! Enhance your knowledge of this subject by reviewing lessons and taking short quizzes you can access from any computer, smartphone or tablet.

Exchange & Trade Relationships - Chapter Summary

This chapter enables you to strengthen your understanding of exchange and trade relationships without setting foot in a classroom. Review fun lessons at home or on-the-go that cover U.S. trade policy, means of payment in exchange and trade, tariffs and much more. When finished, you will be ready to:

  • Discuss the economics and politics of international trade
  • Understand how nations benefit from specialization and gain from trade
  • Define absolute advantage in trade, and discuss means of payment in trade
  • Share details about U.S. trade policy and law
  • Exhibit knowledge of international trade policy, strategic trade policies, international trade organizations and trade agreements
  • Describe exchange rates, tariffs and quotas
  • Explain how fiscal and monetary policies impact the exchange rate
  • List ways imports and exports are affected by currency changes

Benefit most from this chapter by tailoring resources to your unique study needs. Access one, two or any number of lessons in any sequence you desire. Take lesson quizzes before, during or after reviewing the lessons to assess your knowledge of exchange and trade relationships. Get a broader review of this subject by taking the practice chapter exam. Expand your knowledge by submitting lesson topic questions to our experts.

10 Lessons in Chapter 20: Exchange & Trade Relationships
Test your knowledge with a 30-question chapter practice test
The Economics & Politics of International Trade

1. The Economics & Politics of International Trade

We will discuss the economics & politics of international trade through the definition of open trade and its benefits and drawbacks. In addition, the ideas of competitive advantage and political patience will be shown as key indicators of global success.

Gains From Trade and the Benefit of Specialization

2. Gains From Trade and the Benefit of Specialization

Explore one of the most widely accepted ideas in economics - the idea that nations benefit from specialization and exchange, reaping gains from trade.

Absolute Advantage in Trade: Definition and Examples

3. Absolute Advantage in Trade: Definition and Examples

In this lesson, you'll learn what absolute advantage is and how to easily identify it within examples of international trade. In addition, you'll learn the important difference between absolute advantage and comparative advantage.

U.S. Trade Policy & Law

4. U.S. Trade Policy & Law

American industries depend upon the government for protection against imports and to promote domestic exports. In this lesson, you will be exposed to an overview of U.S. trade policy and law.

International Trade Policy & Strategic Trade Policies

5. International Trade Policy & Strategic Trade Policies

Governments sometimes intervene in international trade. In this lesson, we'll examine the arguments against strategic trade policy and discuss the policy instruments used by governments to influence international trade flows.

International Trade Organizations and Trade Agreements

6. International Trade Organizations and Trade Agreements

International trade organizations and trade agreements have enormous power in the global trade environment. In this lesson, you will learn about the roles of the GATT, NAFTA, and the World Trade Organization.

Tariffs and Quotas: Effects on Imported Goods and Domestic Prices

7. Tariffs and Quotas: Effects on Imported Goods and Domestic Prices

Explore what tariffs and quotas are and what effect they can have on the supply of imported goods. Find out how these two economic tactics can influence the prices you pay for many of the everyday items you may purchase.

Exchange Rate: Determination and Conversion Across Countries

8. Exchange Rate: Determination and Conversion Across Countries

Understand what exchange rates are and the different types that can be used by governments and countries. See how they operate and how the conversion process works across countries.

How Fiscal and Monetary Policies Affect the Exchange Rate

9. How Fiscal and Monetary Policies Affect the Exchange Rate

Discover how fiscal and monetary policy can affect the exchange rate and ultimately the amount of money it costs you to buy goods and services. Find out the three paths that both fiscal and monetary policy can travel to impact the exchange rate.

How Currency Changes Affect Imports and Exports

10. How Currency Changes Affect Imports and Exports

Learn about how currency changes can affect imports and exports. Find out how this affects you. Discover what happens when a dollar is strong compared to other currencies and what happens when it is weak.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

Earning College Credit

Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.

To learn more, visit our Earning Credit Page

Transferring credit to the school of your choice

Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.

Support